Logistics and the chemical industry
As part of its commitment to Responsible Care, the chemical industry and all its sectors, including the petrochemical industry, make every effort to transport and handle their goods in a safe way and in full accordance with current regulations. Numerous initiatives have been taken by Cefic, the European Chemical Industry Council, to drive an improvement in the chemical industry's safety standards, and these are showing good results.
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Logistics and the petrochemical industry
Petrochemicals trade depends on competitive, reliable and sustainable logistics. In Europe, the current transport infrastructure is already overloaded with high level of congestion.
Appe believes that olefins pipelines are an alternative mode of transport that would allow to reserve above-ground infrastructure for the use of citizens.
Improving the olefins pipelines infrastructure contributes to further strenghtening the position of the European petrochemical industry in a global competitive context.
In the last years, Appe has been raising the awareness of EU authorities on the benefits to industry and to the European Community at large of developing an interconnected olefins pipelines network in Europe. The Appe proposal for a pan European olefins pipelines network is described here.
Olefins pipelines and the development of a Trans-European olefins Pipeline Network
Olefins - mainly ethylene and propylene - are the main building blocks of the chemical industry, and, as such, are key to the production of essential consumer products (see our interactive flowchart section). In Western Europe, 23.3 million tons ethylene and 17.2 million tons propylene were produced in 2003 (inclusive of refineries). In the last 10 years, olefins production in Europe grew by approximately 3% - only slightly lower than the USA (4%).
About 60% of the production of these olefins is used on integrated & local sites; 40% is moved mainly by pipe (70%) and ship (20%); the rest ismoved by barge or rail. Most of the chemical derivatives produced out of these olefins are then moved to customers by road, and some by rail.
At present, there are 5 separate olefins pipelines systems in Europe - in the UK, France, the Antwerp-Rotterdam-Amsterdam (ARA) area, Italy & Eastern European countries - which are not interconnected to form a complete network. The development of a European interconnected Olefins Pipelines network in Europe would allow this infrastructure to become a true alternative to the other modes of transport.
The development of a Trans-European olefins Pipeline Network (TEPN) would have a positive impact on transport, environment, safety, economy, society at large and the single market. It would contribute to the EU Transport Policy Strategy, by, amongst other things, shifting the transport of chemicals from surface to underground and enabling connections to remote regions of the EU. It would also allow a higher utilization rate of steam crackers.
Appe's proposal is to develop a Trans-European olefins Pipeline Network which will enable a flow of olefins between Northern and Southern Europe as well as between Western and Eastern Europe.
A number of projects that are currently being carried out by the industry are part of this network. These, plus potential future projects, would allow the completion of an integrated network.
This network would have a positive impact on transport, environment, safety, economy, society at large and the single market. The Appe proposal to complete a Trans European Olefins Pipeline network is detailed here.
In February 2004, the Commission (DG TREN) introduced to the Council and the Parliament a proposal for the revision of the TEN-E guidelines which included olefins pipelines. This proposal is currently being discussed by the Council and the Parliament.
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